KSH International IPO: Solid growth, analysts stay neutral; should you bid?

SBI Securities has maintained a "Neutral" view on the KSH International IPO and would like to monitor its performance post-listing

KSH International IPO: The initial public offering (IPO) of KSH International, a manufacturer of magnet winding wires, is scheduled to open for public subscription on Tuesday, December 16, 2025. The ₹710 crore public offer comprises a fresh issue of 10.9 million equity shares, worth up to ₹420 crore, and an offer for sale (OFS) of 7.6 million shares, worth up to ₹290 crore. Under the OFS, promoters Kushal Subbayya Hegde, Pushpa Kushal Hegde, Rajesh Kushal Hegde, and Rohit Kushal Hegde are offloading their stakes. 

KSH International IPO GMP

On Monday, the unlisted shares of KSH International were trading flat at ₹384, the upper end price, according to sources tracking unofficial markets.

 

KSH International IPO: Should you apply or not?

SBI Securities - Neutral

Between FY23-FY25, the company delivered a strong revenue, Ebitda, and profit after tax (PAT) CAGR of 29 per cent, 32.9 per cent, and 33.4 per cent, respectively, demonstrating financial resilience. 

 

"At the upper price band of ₹384, the issue is priced at FY25 P/E and EV/Ebitda multiples of 38.3x and 20.7x, respectively, based on post-issue capital," the brokerage said in its note.

 

According to analysts, the issue appears to be fairly valued, coupled with a slightly superior margin profile compared with its closest peers. However, the company plans to repay debt of ₹226 crore from the proceeds of the issue, which is expected to boost profitability by ₹10 crore to ₹13 crore.

 

The brokerage has maintained a "Neutral" view on the company and would like to monitor its performance post-listing.   Check Nephrocare Health IPO Allotment Status

Arihant Capital - Neutral

According to Arihant Capital, KSH International is well-positioned to capitalise on secular growth drivers in electrification like EV penetration, renewable energy and power infrastructure modernisation. The company's demonstrated execution track record (35.55 per cent revenue CAGR, 59.83 per cent PAT CAGR), combined with a diversified customer base across 122 accounts and a 24-country geographic footprint, provides earnings visibility. 

 

Backward integration into copper rod manufacturing and captive renewable energy deployment will enhance operating leverage and provide pricing power in a cyclical commodity business. At the upper price band of ₹384, the issue has a P/E ratio of 38.27x, based on Annualised EPS of ₹10.03 of FY25," the brokerage said.

 

Arihant Capital has assigned a “Neutral ” rating for the issue.

Here are the key details of KSH International IPO:

The three-day subscription window to bid for the KSH International IPO will close on Thursday, December 18, 2025. The allotment of shares is expected to be finalised on Friday, December 19, 2025. The successful allottees will receive the company's shares in their respective demat accounts on Monday, December 22. 

 

Shares of KSH will make their debut on the exchanges, NSE and BSE, tentatively on Tuesday, December 23, 2025. 

 

The company has set the price band in the range of ₹365 to ₹384, with a lot size of 39 shares. A retail investor would require a minimum investment of ₹14,976 to bid for at least one lot and in multiples thereafter.

 

MUFG Intime India is the registrar for the issue. Nuvama Wealth Management and ICICI Securities are the book-running lead managers. 

 

According to the red herring prospectus (RHP), the company plans to use ₹226 crore from the net fresh issue proceeds for prepayment or repayment of certain outstanding borrowings. Additionally, ₹102.4 crore will be used for funding capex requirements for purchasing & setting up new machinery for expansion at the Supa facility, and at Unit 2, Chakan at Pune, and ₹8.8 crore will be used for setting up a rooftop solar plant for power generation at the Supa facility. The remaining funds will be used for general corporate purposes. 

 

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